WEST MICHIGAN (WKZO AM/FM) — An automotive supply and engineering firm is laying off staff as the manufacturer faces growing economic uncertainty.
Benteler Automotive Corporation has announced more than 1,000 layoffs slated for three facilities located in West Michigan.
The company is a branch of Austrian-based Benteler Group, which employs around 30,000 people worldwide and primarily manufacturers auto supplies like exhaust and engine parts.
Benteler said in a March 23rd letter to the Michigan Department of Labor and Economic Opportunity that shifts in demand prompted the layoffs. “Due to impacts on the global supply chain related to the Coronavirus and the needs of our customers, Benteler needs to conduct temporary layoffs for portions of its production operations,” the company said in a statement.
Auto supply chains have been rocked by market fluctuations and lower demand for parts, as industry analysts predict sales this year could fall by nearly 30%.
Employees are expected to be notified of the temporary layoffs between March 20th and April 13th.
185 jobs will be cut at Benteler Automotive’s facility in Kalamazoo County at the Galesburg manufacturing center on 900 E. Michigan Avenue.
The supplier also notified state regulators that 160 employees would be laid off at its 533 Ottawa Avenue location in Holland, and 673 cuts are expected at its Grand Rapids facility at 3721 Hagen Dr. SE.
